Bloomberg Law
Jan. 19, 2023, 1:10 AM

Party City Gets $75 Million of Fresh Cash After Mudrick Dustup

Jeremy Hill
Jeremy Hill
Bloomberg News

Party City Holdco Inc. won approval to borrow $75 million after its bankruptcy judge settled a fight among creditors including Mudrick Capital Management.

US Bankruptcy Judge David R Jones in a hearing Wednesday said he would approve the loan, which is the first draw of a proposed $150 million financing package. The cash will allow the beleaguered party supplies retailer to keep paying employees and vendors while working on a plan to restructure more than of $1.4 billion of debt.

Mudrick, a Party City creditor, objected to the financing because in order to participate in the deal — the ...

Learn more about Bloomberg Law or Log In to keep reading:

Learn About Bloomberg Law

AI-powered legal analytics, workflow tools and premium legal & business news.

Already a subscriber?

Log in to keep reading or access research tools.